SMJ International (SMJF) Registration Filing summary

Company overview and business model

• Operates as a premier flooring specialist with over 35 years of experience, distributing carpet tiles, broadloom carpets, and vinyl tiles under a proprietary brand in Singapore and 20+ countries, mainly in Asia.

• Maintains a large inventory and real-time management system, enabling rapid order fulfillment and a competitive edge in commercial and institutional sectors.

• Business model centers on wholesale distribution through a network of 260+ dealers, importers, and installation companies, with a focus on commercial, institutional, and property development clients.

• Emphasizes eco-friendly products and sustainability, aligning with government initiatives and market trends.

• Operations are conducted through a Singapore subsidiary, with the holding company incorporated in the Cayman Islands.

Financial performance and metrics

• FY2025 revenue was S$16.8 million, up 1.5% from S$16.6 million in FY2024; net income fell to S$1.0 million from S$1.8 million, a 42.9% decrease.

• Gross profit margin declined from 38.0% in FY2024 to 36.1% in FY2025, mainly due to a higher proportion of lower-margin export sales.

• Export sales accounted for 47.2% of revenue in FY2025, up from 40.3% in FY2024.

• Net cash from operating activities dropped from S$3.0 million in FY2024 to S$0.08 million in FY2025; cash and cash equivalents at FY2025 year-end were S$0.8 million.

• As of March 31, 2025, total assets were S$19.2 million, with S$11.5 million in liabilities and S$7.7 million in equity.

Use of proceeds and capital allocation

• Net proceeds of approximately US$8.2 million (or US$9.6 million if over-allotment is exercised) are expected.

• 35% allocated to expanding inventory stocking, 30% to strategic acquisitions/investments, 20% to strengthening and expanding sales/distribution networks, and 15% to general corporate purposes and working capital.